First, the tech heavy Nasdaq rose to an all time high of over 5000 points on 10 March. Then it dropped with a loud thud. And then it was up again. Like some ancient torture of bobbing victims up and down in water, tech investors will have to brace themselves for more volatility which will possibly continue for another 5 to 6 months. But is the churn too much to stomach even for investors of internet funds? Well, apparently so.

Figures are not easily available, but one fund house was forthcoming. Dresdner Asset Management says in the last month, investors pulled out some 5 hundred thousand dollars from its Internet Fund launched in February. In an interview with Fundsupermart, its Deputy General Manager, Giri Mudeliar, points out that the redemption is small if you note that Singaporeans have put some 93 million dollars into the fund. He is quick to add that over the last month, there have also been more people buying the fund than bailing out. And of those that have opted out, most switched to the company's Asia-Pacific equity funds. Mr Mudeliar notes that investors these days are more informed and have realised that unit trusts are not for gambling; they are therefore not likely to react irrationally.